("(j) enabling a tenant to offset any payments made to the association against any monies owning to the unit-holder as landlord.")

57

Page 16, line 14, leave out ("may") and insert ("shall")

58

Page 16, line 17, at end insert--

("(c) provision for charging the interest of a unit-holder who is in breach of any such duty to secure payment of any compensation or costs and interest thereon which he is liable to pay in respect of that breach of duty")

BY THE LORD GOODHART
THE BARONESS HAMWEE

The above-named Lords give notice of their intention to oppose the Question that Clause 36 stand part of the Bill.

("(c) enabling a court to determine any issue as to whether or not any payment into the reserve fund demanded is reasonably required")

BY THE BARONESS GARDNER OF PARKES

64

Page 17, line 15, at end insert ("and the date by which payment should be received")

65

Page 17, line 15, at end insert (", and

(e) as to the payment of interest on any late payment of such a levy.")

BY THE LORD KINGSLAND

66*

Page 17, line 20, at end insert--

("(3A) The assets of a fund established and maintained by virtue of this section shall be treated as monies reserved for future expenditure.

(3B) Any sums paid into a fund established and maintained by virtue of this section by a unit-holder, and any investments representing those sums, shall (together with any income accruing thereon) be held by the commonhold association either as a single fund, or, if the commonhold association deems appropriate, as two or more separate funds.

(3C) The commonhold association shall hold any trust fund--

(a) on trust to defray costs incurred in connection with the matters for which the relevant contributions were payable (whether incurred by the commonhold association itself or by another person), and

(b) subject to that, on trust for the persons who are the contributing unit-holders for the time being.

(3D) Subject to subsections (3F) and (3G), the contributing unit-holders shall be treated as entitled by virtue of subsection (3C)(b) above to such shares in the residue of any such fund as are proportionate to their respective liabilities to pay a percentage of the levy set under subsection (2) of this section.

(3E) If the Secretary of State by order so provides, any sums standing to the credit of any trust fund may, instead of being invested in any other manner authorised by law, be invested in such manner as may be specified in the order; and any such order may contain such incidental, supplemental or transitional provisions as the Secretary of State considers appropriate in connection with the order.

(3F) On the transfer of a commonhold unit, the unit-holder shall not be entitled to any part of any trust fund, and any part of such trust fund which is attributable to relevant contributions paid in accordance with this section, shall accordingly continue to be held on the trusts referred to in subsection (3C).

(3G) Any trust fund established under this section shall be exempt from any tax in respect of the contributions made to it by the unit-holders, whether (apart from this provision) a liability to tax may be imposed on the commonhold association or the contributing unit-holder.")

67*

Page 17, line 23, at end insert ("or when the enforcement of a debt would render the commonhold association liable to a winding-up petition under section 124 of the Insolvency Act 1986")

("(g) require the directors of the commonhold association to register a revised commonhold community statement following the acquisition of the freehold estate in part of the commonhold by a compulsory purchaser.")

(a) in the case of regulations under section 58(3), by the Lord Chancellor and the Secretary of State acting jointly, and

(b) in any other case, by the Lord Chancellor.")

BY THE LORD GOODHART
THE BARONESS HAMWEE

78

Page 26, line 12, leave out paragraph (e)

79

Page 26, line 13, at end insert--

("(3) Regulations shall not be made under sections 3(1)(e), 3(2)(f) or 19(4) unless a draft of the instrument containing them has been laid before and approved by a resolution of each House of Parliament.

(4) The first regulations under section 31 and paragraph 2 of Schedule 3 shall not be made unless a draft of the instrument containing them has been laid before and approved by a resolution of each House of Parliament.

(5) Subject to subsections (3) and (4), regulations under this Part shall be subject to annulment in pursuance of a resolution of either House of Parliament.")

80

Page 26, line 13, at end insert--

("( ) A copy of any regulations made under this Part shall be sent free of charge to each commonhold association which is the registered proprietor of commonhold land before, or within 7 days after, the regulations come into force.")

("( ) they consist of individual houses and blocks of flats comprised in an estate management scheme,")

BY THE LORD KINGSLAND

84

Page 29, line 30, at end insert (", and

(d) no part of the premises are let on a tenancy to which Part II of the Landlord and Tenant Act 1954 (business tenancies) applies")

BY THE LORD GOODHART
THE BARONESS HAMWEE

85

Page 29, line 33, leave out paragraphs (a) and (b)

86

Page 29, line 37, after ("the") insert ("access and the")

87

Page 29, line 39, after ("the") insert ("access and the")

88

Page 29, line 42, after ("of") insert ("access or of")

BY THE LORD LEA OF CRONDALL
THE BARONESS GIBSON OF MARKET RASEN

89

Page 30, line 2, at end insert--

("(5A) This Chapter applies also to a part of a building which comprises flats occupied as dwellings, "the residential part", where the building containing those flats is not solely occupied for residential purposes.

(5B) The exercise of rights under subsection (5A) includes the residential common parts.

(5C) The "residential common parts" shall be all of those areas over which the qualifying tenants have rights of use, passage, or other easement or right.

(5D) Any dispute between the RTM company and the landlord as to the extent of the "residential part" shall be determined by a surveyor appointed by the president of the leasehold valuation tribunal, whose costs shall be met equally by the RTM company and the landlord.")